Share:


Lifestyle segmentation: mobile phone purchase vis-à-vis consumption decision

Abstract

Prior studies intensively rely on lifestyle segmentation to investigate the patterns of purchase and consumption decisions. However, the literature does not specifically relate lifestyle profiles with the types of consumer decisions (i.e., purchasing vs. consumption decisions). Therefore, this research analyzed the issue by surveying 626 residents of Salatiga city, Indonesia, as the participants through self-administered questionnaires. By analyzing the data with factor, cluster, and chi-square analysis, this paper demonstrated that purchase decisions (i.e., the choice of brand name and country of origin) are not associated with lifestyle segments, while consumption decisions differ among the segments. Meanwhile, lifestyle is more likely associated with enduring (i.e., consumption decisions) than occasional behaviors (i.e., purchase decisions) such as the purchase of a mobile phone and its related services.

Keyword : lifestyle profile, factor analysis, cluster analysis, brand name, country of origin

How to Cite
Nugraha, A. K. N. A., Silintowe, Y. B. R., & Paramita, E. L. (2022). Lifestyle segmentation: mobile phone purchase vis-à-vis consumption decision. Business: Theory and Practice, 23(1), 14–25. https://doi.org/10.3846/btp.2022.13687
Published in Issue
Jan 21, 2022
Abstract Views
1106
PDF Downloads
1182
Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

References

Amin, K. (2014). Indonesians spend most time on smartphones in the world. The Jakarta Post. https://www.thejakartapost.com/news/2014/06/05/indonesians-spend-most-time-smartphones-world.html

Andehn, M., Nordin, F., & Nilsson, M. (2016). Facets of country image and brand equity: Revisiting the role of product categories in country‐of‐origin effect research. Journal of Consumer Behaviour, 15(3), 225–238. https://doi.org/10.1002/cb.1550

Assael, H. (2005). Consumer behavior: A strategic approach. Houghton Mifflin Company.

Asseraf, Y., & Shoham, A. (2017). Destination branding: The role of consumer affinity. Journal of Destination Marketing & Management, 6(4), 375–384. https://doi.org/10.1016/j.jdmm.2016.06.004

Balabanis, G., & Siamagka, N.-T. (2017). Inconsistencies in the behavioural effects of consumer ethnocentrism: The role of brand, product category and country of origin. International Marketing Review, 34(2), 166–182. https://doi.org/10.1108/IMR-03-2015-0057

Balakrishnan, J., & Griffiths, M. (2018). Loyalty towards online games, gaming addiction, and purchase intention towards online mobile in-game features. Computers in Human Behavior, 87, 238–246. https://doi.org/10.1016/j.chb.2018.06.002

Barrett, P., Imamura, F., Brage, S., Griffin, S. J., Wareham, N. J., & Forouhi, N. G. (2017). Sociodemographic, lifestyle and behavioural factors associated with consumption of sweetened beverages among adults in Cambridgeshire, UK: the Fenland study. Public Health Nutrition, 20(15), 2766–2777. https://doi.org/10.1017/S136898001700177X

Candan, F. B., & Kapucu, H. (2018). The effect of lifestyle on conspicuous consumption. In O. Ekşi & F. B. Candan (Eds.), Current debates in business studies (Vol. 15, pp. 109–125). IJOPEC Publication Limited.

Choi, M., & Park, K. (2018). Differences in awareness, attitude and purchase intention of multi-brand stores among fashion lifestyle groups. Journal of the Korean Society of Clothing Textiles, 42(3), 438–451. https://doi.org/10.5850/JKSCT.2018.42.3.438

Christea, A., Capatina, G., & Stoenescu, R.-D. (2015). Country-of-origin effects on perceived brand positioning. Procedia Economics Finance, 23, 422–427. https://doi.org/10.1016/S2212-5671(15)00383-4

Cifci, S., Ekinci, Y., Whyatt, G., Japutra, A., Molinillo, S., & Siala, H. (2016). A cross validation of consumer-based brand equity models: Driving customer equity in retail brands. Journal of Business Research, 69(9), 3740–3747. https://doi.org/10.1016/j.jbusres.2015.12.066

Diaz, A., Gomez, M., Molina, A., & Santos, J. (2018). A segmentation study of cinema consumers based on values and lifestyle. Journal of Retailing and Consumer Services, 41, 79–89. https://doi.org/10.1016/j.jretconser.2017.12.001

Ernst, A., & Briegel, R. (2017). A dynamic and spatially explicit psychological model of the diffusion of green electricity across Germany. Journal of Environmental Psychology, 52, 183–193. https://doi.org/10.1016/j.jenvp.2016.12.003

Fernandez-Ferrin, P., Calvo-Turrientes, A., Bande, B., Artaraz-Minon, M., & Galan-Ladero, M. M. (2018). The valuation and purchase of food products that combine local, regional and traditional features: The influence of consumer ethnocentrism. Food Quality and Preference, 64, 138–147. https://doi.org/10.1016/j.foodqual.2017.09.015

Fischer, P. M., & Zeugner-Roth, K. P. (2017). Disentangling country-of-origin effects: The interplay of product ethnicity, national identity, and consumer ethnocentrism. Marketing Letters, 28(2), 189–204. https://doi.org/10.1007/s11002-016-9400-7

Franzen, G., & Moriarty, S. E. (2009). The science and art of branding. M.E. Sharpe, Inc.

Gardner, B. (2015). A review and analysis of the use of ‘habit’ in understanding, predicting and influencing health-related behaviour. Health Psychology Review, 9(3), 277–295. https://doi.org/10.1080/17437199.2013.876238

George-Ufot, G., Qu, Y., & Orji, I. J. (2017). Sustainable lifestyle factors influencing industries’ electric consumption patterns using Fuzzy logic and DEMATEL: The Nigerian perspective. Journal of Cleaner Production, 162, 624–634. https://doi.org/10.1016/j.jclepro.2017.05.188

Hair, J. F., Tatham, R. L., Anderson, R. E., & Black, W. (2010). Multivariate data analysis. Pearson Prentice Hall Upper Saddle River, NJ.

Hamka, F., Bouwman, H., De Reuver, M., & Kroesen, M. (2014). Mobile customer segmentation based on smartphone measurement. Telematics and Informatics, 31(2), 220–227. https://doi.org/10.1016/j.tele.2013.08.006

Harcar, T., & Kaynak, E. (2015). The impact of country-of-origin and ethnocentrism: An experimental study of consumer taste preferences for soft drinks at cross-cultural level. Journal of Euromarketing, 24(2–3), 120–131. https://doi.org/10.9768/0024.02-3.120

Hassan, S. H., Ramayah, T., Mohamed, O., & Maghsoudi, A. (2015). E-Lifestyle conceptualization: Measurement model validation using variance based structural equation modeling (SEM-PLS). Modern Applied Science, 9(2), 307–319. https://doi.org/10.5539/mas.v9n2p307

Jadczakova, V. (2010). Evaluation and analysis of questionnaire lifestyle segmentation. Department of Statistics and Operation Analysis. Mendel University.

James, A., Ravichandran, S., Chuang, N. K., & Bolden, E. (2017). Using lifestyle analysis to develop lodging packages for staycation travelers: An exploratory study. Journal of Quality Assurance in Hospitality and Tourism, 18(4), 387–415. https://doi.org/10.1080/1528008X.2016.1250240

Jang, J.-S. (2017). The comparative study on the purchase of convenience foods according to the food-related lifestyle in Chinese students. The Korean Journal of Food Nutrition, 30(1), 105–111. https://doi.org/10.9799/ksfan.2017.30.1.105

Jang, J. Y., Han, K., Shih, P. C., & Lee, D. (2015). Generation like: Comparative characteristics in Instagram. In Proceedings of the 33rd Annual ACM Conference on Human Factors in Computing Systems, 4039–4042. https://doi.org/10.1145/2702123.2702555

Kim, M.-J., & Park, J. (2014). Mobile phone purchase and usage behaviours of early adopter groups in Korea. Behaviour & Information Technology, 33(7), 693–703. https://doi.org/10.1080/0144929X.2013.796001

Kim, M., & Kim, C. (2020). Lifestyle and travel motivation of the elderly in South Korea: Baseline characteristics and the relationship between demographic factors. International Journal of Hospitality & Tourism Administration, 21(2), 141–164. https://doi.org/10.1080/15256480.2018.1464417

Klein, J. G., Ettenson, R., & Morris, M. D. (1998). The animosity model of foreign product purchase: An empirical test in the people’s Republic of China. Journal of Marketing, 62(1), 89–100. https://doi.org/10.1177/002224299806200108

Knight, G. A., & Calantone, R. J. (2000). A flexible model of consumer country-of-origin perceptions: A cross-cultural investigation. International Marketing Review, 17(2), 127–145. https://doi.org/10.1108/02651330010322615

Krishnan, J. (2011). Lifestyle – A tool for understanding buyer behavior. International Journal of Economics and Management, 5(1), 283–298.

Leung, L., & Chen, C. (2017). Extending the theory of planned behavior: A study of lifestyles, contextual factors, mobile viewing habits, TV content interest, and intention to adopt mobile TV. Telematics Informatics, 34(8), 1638–1649. https://doi.org/10.1016/j.tele.2017.07.010

Li, G., Li, G., & Kambele, Z. (2012). Luxury fashion brand consumers in China: Perceived value, fashion lifestyle, and willingness to pay. Journal of Business Research, 65(10), 1516–1522. https://doi.org/10.1016/j.jbusres.2011.10.019

Mackay, M. M., & Weidlich, O. (2013). Australian mobile phone lifestyle index. AIMIA-The Digital Industry Association of Australia. http://www.sponsor-ed.com.au/app/webroot/uploaded_files/media/Ampli%202013%20Report_Final_October%2024.pdf

Mahika, E.-C. (2011). Current trends in tourist motivation. Cactus Tourism Journal, 2(2), 15–24.

Malhotra, N. K., Kim, S. S., & Patil, A. (2006). Common method variance in is research: A comparison of alternative approaches and a reanalysis of past research. Management Science, 52(12), 1865–1883. https://doi.org/10.1287/mnsc.1060.0597

McFadden, C. (2018). A chronological history of social media. Interesting Engineering. https://interestingengineering.com/achronological-history-of-social-media

Mundfrom, D. J., Shaw, D. G., & Ke, T. L. (2005). Minimum sample size recommendations for conducting factor analyses. International Journal of Testing, 5(2), 159–168. https://doi.org/10.1207/s15327574ijt0502_4

Nam, J., Ekinci, Y., & Whyatt, G. (2011). Brand equity, brand loyalty and consumer satisfaction. Annals of Tourism Research, 38(3), 1009–1030. https://doi.org/10.1016/j.annals.2011.01.015

Nie, C., & Zepeda, L. (2011). Lifestyle segmentation of US food shoppers to examine organic and local food consumption. Appetite, 57(1), 28–37. https://doi.org/10.1016/j.appet.2011.03.012

Niezgoda, A., & Kowalska, K. (2020). Sharing economy and lifestyle changes, as exemplified by the tourism market. Sustainability, 12(13), 5351. https://doi.org/10.3390/su12135351

Podsakoff, P. M., MacKenzie, S. B., Lee, J.-Y., & Podsakoff, N. P. (2003). Common method biases in behavioral research: A critical review of the literature and recommended remedies. Journal of Applied Psychology, 88(5), 879. https://doi.org/10.1037/0021-9010.88.5.879

Rahmayani, I. (2015). Indonesia raksasa teknologi digital Asia. https://www.kominfo.go.id/content/detail/6095/indonesiaraksasa-teknologi-digital-asia/0/sorotan_media

Roberts, K., Cade, J., Dawson, J., & Holdsworth, M. (2018). Empirically derived dietary patterns in UK adults are associated with sociodemographic characteristics, lifestyle, and diet quality. Nutrients, 10(2), 1–17. https://doi.org/10.3390/nu10020177

Sammut‐Bonnici, T. (2015). Brand and branding. In Wiley Encyclopedia of Management (pp. 1–3). Wiley. https://doi.org/10.1002/9781118785317.weom120161

Sangle, P. S., & Awasthi, P. (2011). Consumer’s expectations from mobile CRM services: A banking context. Business Process Management Journal, 17(6), 898–918. https://doi.org/10.1108/14637151111182684

Sanquist, T. F., Orr, H., Shui, B., & Bittner, A. C. (2012). Lifestyle factors in US residential electricity consumption. Energy Policy, 42, 354–364. https://doi.org/10.1016/j.enpol.2011.11.092

Saprikis, V., Markos, A., Zarmpou, T., & Vlachopoulou, M. (2018). Mobile shopping consumers’ behavior: An exploratory study and review. Journal of Theoretical Applied Electronic Commerce Research, 13(1), 71–90. https://doi.org/10.4067/S0718-18762018000100105

Sharma, P., Singh, S., & Misra, R. (2020). Wine-related lifestyle segmentation in the context of urban Indian consumers. International Journal of Wine Business Research, 32(4). https://doi.org/10.1108/IJWBR-05-2019-0036

Shepard, W. (2016). How “made in China” became cool. Forbes. https://www.forbes.com/sites/wadeshepard/2016/05/22/howmade-in-china-became-cool/#1eae713f77a4

Siahtiri, V., & Lee, W. J. (Thomas). (2019). How do materialists choose prominent brands in emerging markets? Journal of Retailing Consumer Services, 46, 133–138. https://doi.org/10.1016/j.jretconser.2017.08.021

Sinclair, G., & Tinson, J. (2017). Psychological ownership and music streaming consumption. Journal of Business Research, 71, 1–9. https://doi.org/10.1016/j.jbusres.2016.10.002

Szakaly, Z., Popp, J., Kontor, E., Kovacs, S., Pető, K., & Jasak, H. (2017). Attitudes of the lifestyle of health and sustainability segment in Hungary. Sustainability, 9(10), 1763. https://doi.org/10.3390/su9101763

Thogersen, J. (2017). Sustainable food consumption in the nexus between national context and private lifestyle: A multi-level study. Food Quality and Preference, 55, 16–25. https://doi.org/10.1016/j.foodqual.2016.08.006

Uddin, M. R., Lopa, N. Z., & Oheduzzaman, M. (2014). Factors affecting customers’ buying decisions of mobile phone: A study on Khulna City, Bangladesh. International Journal of Managing Value and Supply Chains, 5(2), 21–28. https://doi.org/10.5121/ijmvsc.2014.5203

Van Huy, L., Chi, M. T. T., Lobo, A., Nguyen, N., & Long, P. H. (2019). Effective segmentation of organic food consumers in Vietnam using food-related lifestyles. Sustainability, 11(5), 1237. https://doi.org/10.3390/su11051237

Viljoen, A. T., van der Spuy, E., & du Rand, G. E. (2018). Food consumption, lifestyle patterns, and body mass index of a group of white South African students. International Journal of Consumer Studies, 42(5), 533–546. https://doi.org/10.1111/ijcs.12465

Volodzko, D. (2015). How “made in China” became a stigma. The Diplomat. https://thediplomat.com/2015/07/how-made-inchina-became-a-stigma/

Wang, R. J.-H., Malthouse, E. C., & Krishnamurthi, L. (2015). On the go: How mobile shopping affects customer purchase behavior. Journal of Retailing, 91(2), 217–234. https://doi.org/10.1016/j.jretai.2015.01.002

Weber, W., Reinhardt, A., & Rossmann, C. (2020). Lifestyle segmentation to explain the online health information–seeking behavior of older adults: Representative telephone survey. Journal of Medical Internet Research, 22(6), e15099. https://doi.org/10.2196/15099

Witzling, L., & Shaw, B. R. (2019). Lifestyle segmentation and political ideology: Toward understanding beliefs and behavior about local food. Appetite, 132, 106–113. https://doi.org/10.1016/j.appet.2018.10.003

Yeo, G. E., Cho, M.-S., & Oh, J. (2020). Food-related lifestyle segmentation and beverage attribute’ selection: Toward understanding of sugar-reduced beverages choice. British Food Journal, 122(12), 3663–3677. https://doi.org/10.1108/BFJ-10-2019-0817

Yu, C.-S. (2011). Construction and validation of an e-lifestyle instrument. Internet Research, 21(3), 214–235. https://doi.org/10.1108/10662241111139282

Yu, C.-S. (2015). Using e-lifestyle to analyze mobile banking adopters and non-adopters. Journal of Global Information Technology Management, 18(3), 188–213. https://doi.org/10.1080/1097198X.2015.1070619

Yunus, N. S. N. M., & Rashid, W. E. W. (2016). The influence of country-of-origin on consumer purchase intention: The mobile phones brand from China. Procedia Economics Finance, 37, 343–349. https://doi.org/10.1016/S2212-5671(16)30135-6

Yusuf, O. (2017). Daftar 5 besar merek smartphone di Indonesia. Kompas.Com. http://tekno.kompas.com/read/2017/11/23/08410067/daftar-5-besar-merek-smartphone-di-indonesia

Zenker, S., & Braun, E. (2017). Questioning a “one size fits all” city brand: Developing a branded house strategy for place brand management. Journal of Place Management Development, 10(3), 270–287. https://doi.org/10.1108/JPMD-04-2016-0018

Zeugner-Roth, K. P., & Žabkar, V. (2015). Bridging the gap between country and destination image: Assessing common facets and their predictive validity. Journal of Business Research, 68(9), 1844–1853. https://doi.org/10.1016/j.jbusres.2015.01.012